Spotify hurdled through hoops for America, but that’s just one part of a global expansion.
According to well-placed sources, Spotify is likely to hit Australia and New Zealand ‘in or around’ February, and boots may already be on the ground. And, that will be complemented by a serious Asian expansion to be headquarted in Hong Kong, Singapore, or both.
Spotify has declined any comment to Digital Music News, though sources are coming from label contacts in both the United States and Australia itself. The Australian & New Zealand headquarters will be in Sydney, and already, Spotify is seeking a label relations manager to liase with hundreds of labels, distributors, publishers, and other content partners.
Which brings us to the ever-thorny issue of licensing, the biggest gating factor for any territorial expansion. On that note, executives are still talking about king-sized ransoms to enter the US, with some estimates surpassing $50 million for all four major label blessings. Australia & New Zealand are obviously smaller markets, but potentially another complicated tollbooth.
Back in the Eurozone, Spotify has just marched into Denmark, though the critical ‘GSA’ bloc remains. That is, Germany, Switzerland, and Austria, with Germany the sorest standout. Those expansion plans are a bit blurier – at least to the people we’re talking to – though Spotify is also seeking German-speaking ‘advisors’ to work out of their UK-based offices.